a.
Introduction:Professional skepticism can be explained as the confirmation of information through inquiry, the significant evaluation of the shreds of evidence obtained and focusing more on the inconsistencies.
To explain:The term professional skepticism.
b.
Introduction:Professional skepticism can be explained as the confirmation of information through inquiry, the significant evaluation of the shreds of evidence obtained and focusing more on the inconsistencies.
To identify:The reason why professional skepticism is helpful in frauds detection.
c.
Introduction:Professional skepticism can be explained as the confirmation of information through inquiry, the significant evaluation of the shreds of evidence obtained and focusing more on the inconsistencies.
To identify:The key behaviors that are necessary for professional skepticism.
d.
Introduction:Professional skepticism can be explained as the confirmation of information through inquiry, the significant evaluation of the shreds of evidence obtained and focusing more on the inconsistencies.
To identify:The difficulties for auditors to exercise professional skepticism.
e.
Introduction:Professional skepticism can be explained as the confirmation of information through inquiry, the significant evaluation of the shreds of evidence obtained and focusing more on the inconsistencies.
To identify: The characteristics and behaviors of the client companies to examine the authenticity in evidences provided by them.
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Auditing: A Risk Based-Approach (MindTap Course List)
- Why is professional skepticism important when completing an audit? Please explain.arrow_forwardProfessional skepticism is a. An attitude that includes a questioning mind. b. The auditor's application of relevant training, knowledge and experience. c. One of the professional code of ethics. d. Not necessary in auditing of the entity.arrow_forwardKPMG is the auditing firm for Tech Corporation, a listed computer software company. The audit team assigned to perform the audit includes an Audit Manager, a Senior Auditor and three Audit Assistants. No member of the team has updated their knowledge or experience on IT or the business processes of an IT company. Based on the given scenario answer the following question numbers 29, 30 and 31: What is the appropriate course of action in the given situation? O a. KPMG should file for bankruptcy and close their auditing firm O b. KPMG should place team members who has updated knowledge and skills in IT business processes O c. KPMG should file a complaint against Tech Corporation O d. KPMG should complete the audit engagement with the current audit teamarrow_forward
- what is the importance of ethical conduct for auditorsarrow_forwardHi there, Need help with questions: Determine why it is important to have auditing standards. Specifically, why are ethics important to the auditing profession?Explain why independence is such an important requirement for auditors. Who gets hurt when accountants and auditors fail to live up to high ethical standards?arrow_forwardwhich of the following would be inappraited for an auditor to asek a client when exhibiting an apprate level of professional skepticism while completing an audit procedure related to the internal control system? a) what happens when a key emoployee goes on vacation? b) what can goes wrong in this peocess? c) what else is important to know abount process?arrow_forward
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- Explain why the decision to accept a client is important and describe the primary features of client acceptance and continuance, including the purpose and content of an audit engagement letter.arrow_forwardHow will you explain the Auditing Process to someone who has experience in Auditing firm?arrow_forwardAuditors are important because they are able to provide assurance of an organization's financial statements from an objective and independent opinion. It benefits the company in several ways, such as maintaining consistency, finding errors in their processing, or detecting fraud. While performing work , the auditors may face situations when they will not be able to fulfill ethical requirements. Which threat may occur when a professional accountant may be deterred from acting objectively by threats, actual or perceived? Intimidation threats Self-review threats Self-interest threats Advocacy threatsarrow_forward
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